Remember the $30 million annual subsidy that the Atlantic City casinos used to hand over to the state horse racing industry in exchange for a state legislative promise of no expansion of gambling beyond Atlantic City such as slot machines at the tracks?

That money now goes toward marketing the city, via a partnership of the Casino Reinvestment Development Authority (CRDA) and the Atlantic City Alliance.

Well, that partnership induced John Paff, the chairman of the New Jersey Libertarian Party Open Government Advocacy Act, to seek public disclosure of the records of the Alliance.

The state’s Appellate Division, however, this week denied the request.

The ruling came after an appeal of a Sept. 25, 2012 court ruling that found the Alliance to be beyond the bounds of the Open Public Records Act that applies to state agencies.

Let’s first go back to mid-2010, when Governor Christie’s “Hanson Commission” – named for its leader, real estate developer Jon F. Hanson – made the revival of the Atlantic City casino industry the cornerstone of its sports and entertainment oversight efforts. That led to the enactment, with the cooperation of the legislature, of an Atlantic City Tourism District.

The same law recommended that a public-private partnership be formed to embark on a five-year marketing effort, with funding from the discontinued horse racing subsidy – Christie told the horsemen to take over the Meadowlands Racetrack and Monmouth Park themselves, or find partners, because he opposed a purse subsidy on principle. That partnership was indeed formed in 2011.

The Libertarian group then sent a letter to the Alliance seeking contracts, emails, and other information that it could get if the Alliance is considered a public agency. The Alliance denied the request, according to the 10-page decision. The lower court agreed with the Alliance’s stance that it is not public.

The court referenced three precedents here. The first was The Times of Trenton v Lafayette Yard in 2005, where the court found that “a private, non-profit corporation authorized to issue tax-exempt bonds guaranteed by the municipality and redevelop an urban site, was a public agency.” The court also noted that “Trenton’s mayor and city council had absolute control” over the agency.

The second was Fair Share Housing Center v New Jersey League of Municipalities in 2011, where the League also was found to be a public agency – in part because the municipalities that belonged to it, created it it.

Third was Sussex Common Associations v Rutgers in 2012, where Rutgers and its law school are public agencies, the law school environmental clinic is not because, the court found, “it does not perform any government functions.”

Finally, Paff had also this year appealed a case involving the New Jersey Firemen’s Association is a public agency – in part because it is funded by taxes on fire insurance premiums collected by the state.

But the court this week found, “Applying these principles to this matter, it is abundantly clear that [the Alliance] is not a public agency subject to OPRA.” As for as the partnership with CRDA – a public agency – the court found that “[w]hile the the two entities work together, neither controls the other.” In fact, the law did not even require the formation of the alliance by the casino industry (though I’ll interject that the casinos knew they would have landed on the wrong side of the no-nonsense Christie if it had not done so).

The Alliance receives no state funds and cannot tax or issue tax-exempt bonds, the court added.

“Undoubtedly, the marketing plan to be implemented by ACA, with recommendations received from CRDA, will benefit Atlantic City and and the tourism district and thus serve ‘a public purpose.’ However, it will also benefit the casinos and the gaming industry represented by the [Alliance]. That is the nature of a public-private partnership.”

A final note: The court said applicants could get information about CRDA’s work with the Alliance – “However, plaintiff will have to obtain those records from the public agency, CRDA..”